NetEaseNETTF -0.98%94 PEG Ratio is 0.98 as of Jun. 25, 2026, which is 1% below its 10-year median of 0.99. GuruFocus rates NETTF with a GF Score™ of 94/100 and a GF Value™ of $24.76 (Fairly Valued). Among 105 Interactive Media companies, NetEase ranks better than 52.38% on this metric.
PE Ratio without NRI / 5-Year EBITDA Growth Rate*
PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, NetEase's PE Ratio without NRI is 15.30. NetEase's 5-Year EBITDA growth rate is 15.60%. Therefore, NetEase's PEG Ratio for today is 0.98.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for NetEase's PEG Ratio or its related term are showing as below:
NETTF'
s PEG Ratio Range Over the Past 10 Years
Min: 0.56 Med: 0.99 Max: 4.62
Current: 0.95
During the past 13 years, NetEase's highest PEG Ratio was 4.62. The lowest was 0.56. And the median was 0.99.
NETTF's PEG Ratio is ranked better than 52.38% of 105
companies
in the Interactive Media industry
Industry Median: 1.04
vs NETTF: 0.95
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
NetEase (OTCPK:NETTF) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.
NetEase PEG Ratio Related Terms
NetEase PEG Ratio Historical Data
* Premium members only.
The historical data trend for NetEase's PEG Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Electronic Gaming & Multimedia subindustry, NetEase's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
NetEase PEG Ratio vs Interactive Media Industry
For the Interactive Media industry and Communication Services sector, NetEase's PEG Ratio distribution charts can be found below:
* The bar in red indicates where NetEase's PEG Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
NetEase (NETTF) has a PEG Ratio of 0.98 as of Jun. 25, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on NetEase and its competitors. This is near median its historical median of 0.99. Over the past decade, NetEase's PEG Ratio has ranged from 0.56 to 4.62. According to the industry distribution chart, NetEase ranks #50 out of 105 companies in the Interactive Media industry, placing it in the top 47.6%.
Is NetEase's PEG Ratio too high?
NetEase's current PEG Ratio of 0.98 is near median its 10-year median of 0.99. Over the past 10 years, this metric has ranged from a low of 0.56 to a high of 4.62. The Interactive Media industry median PEG Ratio is 1.04. NetEase's value of 0.98 is 5.8% below this industry median. Based on the distribution chart, NetEase ranks #50 out of 105 companies in the Interactive Media industry, which is above the industry midpoint. Overall, NetEase has a GF Score™ of 94/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does NetEase's PEG Ratio compare to EA and TTWO?
According to the Interactive Media industry distribution chart, NetEase ranks #50 out of 105 companies for PEG Ratio. This puts NetEase in the upper half of its industry. The industry median PEG Ratio is 1.04. NetEase's value of 0.98 is 5.8% below this benchmark. Historically, NetEase's own PEG Ratio has ranged from 0.56 to 4.62 over the past decade. While the company's 10-year median is 0.99 vs. the industry median of 1.04, NetEase has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for an Interactive Media company?
The median PEG Ratio among Interactive Media companies is 1.04, based on 105 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NetEase's current PEG Ratio of 0.98 is 5.8% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on NetEase and its competitors. For the Interactive Media industry, the median PEG Ratio is 1.04 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NetEase's current PEG Ratio is 0.98, which is near median its own 10-year median of 0.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NetEase stock overvalued right now?
Based on GuruFocus' analysis, NetEase (NETTF) is currently considered Fairly Valued. The stock's GF Value™ is $24.76, compared to a current price of $24.26 — trading 2% below its estimated fair value. The current PEG Ratio is 0.98, which is near median its 10-year median of 0.99 and 5.8% below the Interactive Media industry median of 1.04. NetEase's overall GF Score™ is 94/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For NetEase (NETTF), the current PEG Ratio is 0.98 as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is NetEase (NETTF) Overvalued in 2026?
Based on GuruFocus' analysis, NetEase stock appears to be undervalued.
The current stock price of $24.26 is trading 2% below its estimated GF Value™ of $24.76.
GuruFocus considers NetEase to be Fairly Valued.
Key valuation signals for NETTF:
PEG Ratio: 0.98 (near median its 10-year median of 0.99)
GF Value™: $24.76 vs. price of $24.26 (2% below fair value)
Industry Position: 5.8% below the Interactive Media median (#50 of 105)
No single metric tells the full story. See the NETTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in the late 1990s as an internet portal, NetEase has evolved into China's second-largest online gaming company. Its early success was anchored by the massively multiplayer online role-playing game Fantasy Westward Journey, which laid the foundation for a durable franchise strategy. Over the past decade, the company has expanded its portfolio with successful titles such as Justice, Identity V, Naraka: Bladepoint, and Eggy Party, all of which continue to maintain sizable and engaged player bases.In addition to its in-house development capabilities, NetEase partners with global IP holders such as Microsoft and Marvel to develop and publish titles based on established franchises, including World of Warcraft, Diablo Immortal, and Marvel Rivals, further strengthening its global presence.
94GF Score
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